Does anyone know if it's legal ...

[dblack]

... for insurance companies to offer health insurance plans that don't meet ACA's minimum standards?

If so, it seems like a reasonable strategy for young people would be something along these lines:

They should get catastrophic insurance that covers only the extremes, the unlikely events that would bankrupt them, and ignore ACA's minimum coverage requirements. Then, arrange any income tax withholding that they are subject to such that the are owed no refund at the end of the year. Then, since supposedly they can't be prosecuted, simply refuse to pay the ACA penalties.

Does anyone know of any legal reasons why this wouldn't work?

 

[Antares]

... for insurance companies to offer health insurance plans that don't meet ACA's minimum standards?

If so, it seems like a reasonable strategy for young people would be something along these lines:

They should get catastrophic insurance that covers only the extremes, the unlikely events that would bankrupt them, and ignore ACA's minimum coverage requirements. Then, arrange any income tax withholding that they are subject to such that the are owed no refund at the end of the year. Then, since supposedly they can't be prosecuted, simply refuse to pay the ACA penalties.

Does anyone know of any legal reasons why this wouldn't work?

Only if they are temporary in nature.

 

[dblack]

... for insurance companies to offer health insurance plans that don't meet ACA's minimum standards?

If so, it seems like a reasonable strategy for young people would be something along these lines:

They should get catastrophic insurance that covers only the extremes, the unlikely events that would bankrupt them, and ignore ACA's minimum coverage requirements. Then, arrange any income tax withholding that they are subject to such that the are owed no refund at the end of the year. Then, since supposedly they can't be prosecuted, simply refuse to pay the ACA penalties.

Does anyone know of any legal reasons why this wouldn't work?

Only if they are temporary in nature.

How so? How 'temporary'? Do you have a link to any provisions of the law that actually prohibit plans that don't meet minimums?

 

[Antares]

Ours is 10 months, they can by it but they get hit with the penalty.

 

[dblack]

j

Ours is 10 months, they can by it but they get hit with the penalty.

I understand that they'll be assessed the penalty. But supposedly you can get away without paying that. I'm just curious if the scenario above is viable, because I can see how a lot of young people might choose to do that rather than offer themselves up as cash cows for ACA.

 

[Antares]

If it were viable it would have been done.

 

[dblack]

If it were viable it would have been done.

Well, there's been no need for it yet.